Hamilton to Merivale (Permanent Under-Secretary)
27 Jany 1855
I am commanded by my Lords Commissioners of the Admiralty to transmit to you a copy of a letter from Commander Frederick, transmitting a Report by Mr Martin, Secretary to Rear Admiral Bruce, on Vancouvers Island; and I amtoManuscript image to request you will call the attention of Secretary Sir George Grey to paragraph 9 of the said report pointing out the disadvantage of the site of Victoria as compared with Esquimalt.
I am Sir,
Your most obedient humbls servant
W.A.B. Hamilton

Minutes by CO staff
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Mr Merivale
I much fear that there is too great truth in these observations of Mr Martin on VanCouver's Island. The remedy, I presume, is for the Govt to take the management of the Settlement into it's own hands, which they can do, on the expiration of the Grant or Lease to the H.B.Co, but then the Ho: of Commons must be asked for a vote for a few years to defray the charge of Govt. 3 or 4000 a year would be well spent by the Country in developing the resources of a Settlement so well situated in the N. Pacific for British interests as this; but so long as it continues in the hands of the H.B.Co there is very little chance of good govt, or prosperity for it. If these observations should be sent to the Co we shall receive very well written refutations; but matters will not be mended a whit the more.
ABd 30 J
This subject is under consideration. I have the drafts to prepare.
HM F 2
We clearly cannot send this "confidential" communication to the Co.
Documents enclosed with the main document (not transcribed)
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1. Commodore Charles Frederick, to R. Osborne, Secretary to the Admiralty, 8 November 1854, reporting he had not had the opportunity of visiting Vancouver Island but forwarding the observations of George P. Martin, which "appear to me so well worthy of attention, & his remarks so sensible & judicious, that I think it right to forward it, in extenso, for their Lordship's perusal."
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1.1 George P. Martin to Frederick, Confidential, 16 October 1854, reporting extensively and adversely on the present state and prospects of the efforts of the Hudson's Bay Company to colonize Vancouver Island.